Tesla is taking a firm stance against early resale of their much-anticipated Cybertruck, implementing a unique clause in their purchase agreement to curb this practice. This move comes as the company gears up for the first wave of deliveries scheduled for November 30.
In a significant update to its Motor Vehicle Order Agreement, Tesla has introduced a “Cybertruck Only” section. This clause is quite straightforward: buyers of the Cybertruck are not allowed to sell their vehicle within the first year of purchase unless they obtain explicit permission from Tesla. If this rule is broken, the company has the right to take legal action. The details of this clause have been circulating on social media, drawing attention to Tesla’s stringent control over the early life of its new vehicle.
The penalty for violating this provision is substantial. Tesla can either pursue legal action to prevent the transfer of the vehicle’s title or demand compensation. This compensation could be as high as $50,000, or even more, depending on the sale price of the vehicle. Additionally, those who flout this rule might find themselves blacklisted from purchasing future Tesla vehicles.
However, Tesla is open to making exceptions. For those who have a compelling reason to sell their Cybertruck within the first year, the company offers two options, contingent upon their written consent. The first is a buyback option, though it comes with deductions based on mileage, wear and tear, and repair costs. Alternatively, Tesla may permit the owner to sell the vehicle to a third party.
The rationale behind this stringent policy is Tesla’s attempt to regulate the market for its new product. Given that the Cybertruck will initially be released to a select group of customers and isn’t slated for mass production until 2024, its early models are likely to be highly sought after. Tesla is keenly aware of the potential for resellers to exploit the truck’s rarity for profit. By introducing this clause, Tesla is attempting to maintain control over its vehicle’s distribution and preserve its value in the initial period following its release.
This strategy is somewhat unorthodox in the auto industry, reflecting Tesla’s innovative approach not just in vehicle design and technology, but also in market strategy. It shows the company’s commitment to ensuring that their vehicles are used as intended and not merely as quick profit-making assets. As the Cybertruck prepares to make its debut, this clause will likely be a topic of discussion among potential buyers and the broader automotive community, underscoring Tesla’s unique approach to managing its brand and products in the marketplace.